Algeria Blocks French Wheat Tender: A Diplomatic Wheat Roulette

In a remarkable twist in global agricultural trade, Algeria has blocked French companies from accessing a wheat tender this week. Participating firms were also required not to offer wheat of French origin. This measure stems from the heightened diplomatic tensions between Algeria and Paris, according to various trade sources. The move reflects a conflict that already led to France being excluded from Algerian tenders for several months three years ago. This could solidify the growing dominance of Black Sea wheat, especially from Russia, in the Algerian import market. Algeria is one of the world's largest wheat buyers, and France had long been the main supplier. The rift between Algeria and France is due to France's support for a plan to incorporate Western Sahara under Moroccan sovereignty, a subject Algeria cannot endorse. The Algerian tendering agency OAIC estimated the purchase to be over 500,000 tons of wheat in their recent tender, without considering French offers. Six sources familiar with the matter reported that French companies were not invited and that participants were asked not to offer French wheat. Neither the OAIC nor the French ministries were willing to comment. Given the poor harvest conditions and higher prices, French wheat was not considered a favorite for the contract anyway. The diplomatic dispute has opened the Algerian market in favor of Russian imports. The recent weak French harvest could further reduce exports from the EU and weaken France's position in the global market.